1. It sounds too good to be true
Be suspicious of investments that claim to be “100% safe.” There is no such thing as low risk, high reward in X months. All investments carry a certain level of risk and the absence of a risk is a red flag.
2. It promises “guaranteed” returns
Ponzi schemes generally offer high “guaranteed” returns of 20% or more per week or per month. These attractive profits are used to lure in new investors and keep the scam going.
3. Government Licenses cannot be provided
When in doubt, ask for their BIR registration and SEC secondary license if they are authorized to collect investments. Make sure to always check the legitimacy of the documents they share.
Tip: Visit our Help Center for SEC advisories. For more information, you may also contact the SEC Enforcement and Investor Protection Department (EIPD) at (02) 8818-6047 or firstname.lastname@example.org.
4. Payments are made to individuals instead of business accounts
If your payments are being made to an individual’s account rather than a business account and it has no official receipt, it’s likely that this may not be a licensed investment offer.
Related: 4 Tips to Send Money Online Securely
5. Pressure to buy RIGHT NOW
Don’t be pressured or rushed into buying an investment before you have a chance to think about – and investigate – the “opportunity.”
If you receive anything suspicious or encounter investment scams and fake Coins.ph pages, please inform us immediately. You may send us an email at email@example.com or tap Send us a Message in your app. Stay vigilant and help keep the Coins Community safe and secure!
For more signs of a Ponzi scheme, read the SEC’s latest advisory on unregistered entities soliciting online investments. Coins.ph is not affiliated with any investment companies, and we encourage all our customers to be vigilant and do their due diligence before making any investments.